Fische , Johan; Nisa, E a F.
A icle
Eme ging middles: Class, de elopmen and he halal
economy in Indonesia and Malaysia
Resea ch in Globaliza ion
P o ided in Coope a ion wi h:
Else ie
Sugges ed Ci a ion: Fische , Johan; Nisa, E a F. (2025) : Eme ging middles: Class, de elopmen and
he halal economy in Indonesia and Malaysia, Resea ch in Globaliza ion, ISSN 2590-051X, Else ie ,
Ams e dam, Vol. 10, pp. 1-10,
h ps://doi.o g/10.1016/j. esglo.2025.100276
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Eme ging middles: Class, de elopmen and he halal economy in Indonesia
and Malaysia
☆
Johan Fische
a,*
, E a F. Nisa
b
a
Dep . o Social Sciences and Business, Roskilde Uni e si y, Uni e si e s ej 1, 14.2, 4000 Roskilde, Denma k
b
An h opology, School o Cul u e, His o y and Language, The Aus alian Na ional Uni e si y, ACT 0200, Aus alia
ARTICLE INFO
Keywo ds:
Indonesia
Malaysia
Global de elopmen
Middle class
S a e
Ma ke
Halal
ABSTRACT
The ise o he middle classes in he Global Sou h plays a key ole in global de elopmen a gumen s cha ac e ized
by “con e ging di e gence,” whe e he e a e dec easing inequali ies be ween coun ies and inc easing in-
equali ies wi hin coun ies. The concep o he middle class in he social sciences helps explain he o igins o he
mode n wo ld, wi h he middle class occupying a my hical place in he ad en o de elopmen and mode ni y.
C i iques o global de elopmen wi h espec o he middle class ocus on he analy ical meaning o “middle” and
“class”, and he b oade issue o insu icien a en ion o he his o y and con ex o he middle class. These issues
a e o en mos ho ly deba ed in connec ion wi h he middle classes in middle-income coun ies (“eme ging
middles”) ha may be caugh in a middle-income ap. Based on a his o ical and e hnog aphic analysis o
Indonesia and Malaysia as “eme ging middles,” his pape a gues ha a quali a i e and compa a i e app oach o
a li es yle analysis o middle-class ans o ma ion s eng hens unde s anding o global de elopmen . The cen al
esea ch ques ion conce ns how he s a e and ma ke in Indonesia and Malaysia ha e shaped Muslim middle-
class li es yles. Ou me hodology is inspi ed by a “middle posi ion”, in ol ing combining his o ical/e hno-
g aphic analysis wi h insigh s om global de elopmen when discussing he “middles”, ha is, middle-class
g oups in middle-income coun ies.
1. In oduc ion
A gumen s o global de elopmen cha ac e ized by “con e ging
di e gence”, ha is, he dec easing inequali ies be ween coun ies and
inc easing inequali ies wi hin coun ies, hinge on a g owing middle
class in middle-income coun ies (Ho ne & Hulme, 2019: 372). Spe-
ci ically, schola s a gue ha we mus mo e beyond ( he he o ic o )
in e na ional de elopmen (po e y, he “Thi d Wo ld”, he ela ions
be ween de eloped and de eloping coun ies, he Global No h–Sou h
di ide, Wes e n aid, as well as (pos )colonialism) owa ds a mo e ho-
lis ic global de elopmen ha a guably pe ains o inc easingly in e -
connec ed globalized capi alism, sus ainable de elopmen challenges,
and he blu ing o con en ional No h–Sou h bounda ies (Ho ne ,
2020). The s a us o he Global Sou h wi hin his in e na ional con ex
has ans o med, p esen ing signi ican oppo uni ies o he Global
Sou h o assume a mo e in luen ial ole in de e mining he u u e o he
global communi y. The concep o global de elopmen does no sugges
ha na ions a e insigni ican . On he con a y, na ional ajec o ies
in o m and de ail global de elopmen , as we shall see i in he case o
Indonesia and Malaysia. P inciples o global de elopmen and wo ld
o de such as equali y, democ acy, cosmopoli anism, and peace a e
embedded in he his o ical mo emen owa ds ‘global con e gence’
be ween Global No h–Global Sou h and global u ban sphe es–global
u al sphe es (Gills, 2017).
Global de elopmen has become a buzz ph ase ha a gues o he
ed awing o he map o de elopmen and globaliza ion in he wen y-
i s cen u y: global con e gence, he “ ise o he Sou h” and he
eme gence o global s udies make de elopmen holis ic, uni e sal, sus-
ainable and in e connec ed. We ake ou cue om hese poin s when
analysing he “eme ging middles”, middle-class g oups in middle-
income coun ies, o Indonesia and Malaysia. These coun ies a e
hailed as p oponen s o he Tige Cub economies o Sou heas Asia. The
e m Tige Cub economies e e o a g oup o i e eme ging economies in
Sou heas Asia: Indonesia, Malaysia, he Philippines, Thailand and
Vie nam. This label sugges s ha hese coun ies a e adop ing a de el-
opmen model simila o ha o he high-g ow h economies o he Fou
☆
This a icle is pa o a special issue en i led: ‘Global De elopmen ’ published in Resea ch in Globaliza ion.
* Co esponding au ho .
E-mail add esses: [email p o ec ed] (J. Fische ), [email p o ec ed] (E.F. Nisa).
Con en s lis s a ailable a ScienceDi ec
Resea ch in Globaliza ion
jou nal homepage: www.sciencedi ec .com/jou nal/ esea ch-in-globaliza ion
h ps://doi.o g/10.1016/j. esglo.2025.100276
Recei ed 30 Augus 2024; Recei ed in e ised o m 16 Feb ua y 2025; Accep ed 18 Feb ua y 2025
Resea ch in Globaliza ion 10 (2025) 100276
A ailable online 20 Feb ua y 2025
2590-051X/© 2025 The Au ho (s). Published by Else ie L d. This is an open access a icle unde he CC BY-NC license ( h p://c ea i ecommons.o g/licenses/by-
nc/4.0/ ).
Asian Tige s (Hong Kong, Singapo e, Sou h Ko ea and Taiwan).
Key o ou class analysis is he way in which he s a e and ma ke s in
bo h Indonesia and Malaysia— wo key na ions in he Muslim A chi-
pelago, home o abou 275 million Muslims—a e ac i ely gi ing shape
o a Muslim middle class ha is seen o signi y de elopmen in a glob-
alizing wo ld. Howe e , in o de o unde s and hese p ocesses, we need
o place hem wi hin a b oade his o ical and empi ical con ex . By
p o iding a ho ough and compa a i e analysis, we aim o add ess gaps
in global de elopmen discou se, demons a ing he signi icance o
li es yles in shaping social classes in Indonesia and Malaysia. Webe
(1978) heo y o social s a i ica ion emphasizes he ole o li es yles in
class s uc u es, consump ion and he social inclusion o exclusion o
g oups. Simila ly, ou app oach p o ides a use ul lens h ough which o
unde s and he in e connec ion be ween social s uc u es and indi idual
ac ions.
We a gue ha adop ing a quali a i e and compa a i e app oach o a
li es yle analysis o middle-class ans o ma ion s eng hens global
de elopmen hinking. The cen al esea ch ques ion conce ns how he
s a e and ma ke s in Indonesia and Malaysia ha e shaped middle-class
li es yles, pa icula ly wi hin he con ex o he Islamic economy and
he halal (an A abic wo d ha li e ally means “pe missible” o “law ul”)
indus y. Ou me hodology is g ounded in a “middle posi ion”, which
in ol es combining his o ical and e hnog aphic analysis wi h insigh s
om global de elopmen when discussing he “middles”. A key obse -
a ion wi hin ou analysis is ha Muslim middle-class indi iduals and
g oups in Indonesia and Malaysia o en sel -iden i y as a dis inc class,
despi e he ambigui y su ounding he exac de ini ion o wha cons i-
u es he middle class. In Indonesia, his class is e e ed o as kelas
menengah, while in Malaysia, i is e med kelas pe engahan.
We compa e Indonesia and Malaysia because hese coun ies a e
quin essen ial examples o “eme ging middles,” despi e hei economic
g ow h occu ing a di e en imes. Malaysia achie ed uppe -middle-
income s a us in 1996, whe eas Indonesia eached his classi ica ion
mo e ecen ly in 2019. Bo h economies ha e expe ienced s eady g ow h,
wi h no able excep ions being he Asian inancial c isis o 1997/1998
and he pandemic pe iod. Mo ing om he “Thi d Wo ld” o he “Global
Sou h”; hey embody a mix o e hnic go e nmen suppo o he Muslim
middle class wi hin he con ex o open and globalized economies,
which oge he shape middle-class li es yles. We base ou analysis on
mo e han wo decades o his o ical and e hnog aphic esea ch on he
middle class in Indonesia and Malaysia. Ou class analysis is in o med by
an e e yday poli ical economy app oach o u ban Muslim Sou heas
Asia ha explo es economic ans o ma ions among o dina y people as
well as ma ke ized/ a ionalized economic policy making condi ioned by
e e yday p ac ices o economic engagemen (Elias & Re hel, 2016). A
compa a i e case s udy app oach is pa icula ly well sui ed o social
esea ch on “eme ging middles”, as i places middle-class cul u e,
con ex and compa ison a i s co e while also conside ing he middle-
income ap as a mul i-scala phenomenon. The middle-income ap
ope a es a mul iple le els: na ionally (dis inguishing middle-income
om high-income coun ies), locally (highligh ing dispa i ies be ween
co e and less p ospe ous egions), and indi idually (con as ing
weal hie households wi h hose acing economic cons ain s)
(And iesse, 2025).
This mul i-scala and compa a i e pe spec i e in o m ou app oach,
as discussions on he middle-income ap ha e o en emained b oad,
lea ing signi ican gaps in unde s anding i s speci ic implica ions and
mani es a ions in Sou heas Asia. Ra he han iewing he middle-
income ap solely as a na ional economic ansi ion issue (see Gill &
Kha as, 2007), we examine how i un olds a local and pe sonal le els.
This pe spec i e enables us o explo e how economic g ow h is une enly
dis ibu ed ac oss egions and social g oups, shaping class ans-
o ma ion in di e se and complex ways.
Since he 1980s, Muslim Sou heas Asia has played a key ole in
shaping a global Islamic economy, leading o he de elopmen o
dis inc Muslim e hics and li es yles in ela ion o consump ion and
ma ke iza ion. Va ious Muslim g oups, pa icula ly he e i alis s ha
ha e been cen al o he ede ini ion o Muslim middle-class li es yles
since he 1970s, ha e ede ined he concep s o “economy” and
“de elopmen ” om he indi idual o global le els. Thei in e ac ions
wi h he economy ha e esul ed in ans o ma ions o Islamic iden i ies.
This phenomenon is pa icula ly e iden in Muslim Sou heas Asia, ye
he e has been li le comp ehensi e explo a ion o he concep o
Muslim pie y as economy (Fische & Jammes, 2020) in he con ex o
class o ma ion and global de elopmen . Speci ically, halal is key o
unde s anding middle-class li es yles in Muslim Sou heas Asia and he
in e ac ions be ween s a e and ma ke , mos no ably in Indonesia and
Malaysia. Halal ma ke s shape – and a e hemsel es shaped by – Islamic
middle-class li es yles. The halal indus y ma ke in Indonesia is o ecas
o accoun o 19.1 % o GDP in 2030 (USD billion 311.7) and he co -
esponding igu e o Malaysia is 11 %, USD billion 58.5) (YCP Solid-
iance, 2024a, 2024b).
Wi h a ocus on Indonesia and Malaysia as si es o signi ican and
di e se in eg a ion o Islam and he economy, he p oduc ion o Muslim
middle-class li es yles has eme ged (Nisa, 2023a, 2023b). Impo an ly,
Indonesia and Malaysia ha e d i en he c ea ion o a global Muslim
pie y as an economy, wi h middle-class Muslims playing oles as p o-
duce s, egula o s and consume s. This a icle explo es he ela ionship
be ween Islam and he economy in Muslim Sou heas Asia, wi h a spe-
ci ic ocus on he “eme ging middles”.
Following his in oduc ion, we will ocus on b oade pe spec i es o
(in)equali y and he middle-income ap as mul i-scala phenomena
be o e explo ing class and (global) de elopmen , including a e iew o
he class and de elopmen li e a u e and ou pe spec i e on class anal-
ysis. An impo an ques ion he e is how o add ess he imp ecision o he
concep o “eme ging middles”. Then we con ex ualize he middle class
in Indonesia and Malaysia be o e explo ing middle-class li es yles, wi h
speci ic e e ence o he s a e and ma ke . The concluding discussion ies
he indings oge he and sugges s ha global de elopmen hinking can
be s eng hened by conside ing a con ex ualized class analysis.
2. (In)equali y, middle-income aps and b oade pe spec i es
Con empo a y de elopmen na a i es and no leas global de el-
opmen o en celeb a e he ise o he middle classes in he Global Sou h.
Amid pe sis en po e y, policymake s ind encou agemen in hese
success s o ies cha ac e ized by sel -su iciency, he capaci y o engage
wi h he global economy, pu chasing powe , and disce nmen . Howe -
e , such op imis ic accoun s o en o e look he in ica e eali ies ha
shape and eshape middle-class exis ence. Mo eo e , he ad ancemen s
o he middle classes do no necessa ily lead o b oade de elopmen
bene i s o o he s. Thus, ocusing on he middle classes may isk
ma ginalizing economically disad an aged g oups, who a e o en
pe cei ed as being ou side he de elopmen agenda (Balla d, 2012;
Rigg, 2014). A he same ime, some go e nmen s p io i ise suppo o
he poo , lea ing he middle class—many o whom emain inancially
ulne able—wi hou adequa e assis ance. These indi iduals, who ha e
no ye achie ed a s able and esilien middle-class s a us, o en do no
quali y o a ious social assis ance p og ams. As a esul , hey a e a isk
o economic down u ns and downwa d mobili y, as seen in he expe i-
ences o middle-class Indonesians in his s udy. In he con ex o he
middle-income ap a he indi idual and na ional le el, a 2023 whi e
pape published by he Facul y o Economy and Business a he Uni-
e si y o Indonesia highligh s ends in economic mobili y among
Indonesian households be ween 1993 and 2014. The epo shows ha
27 % o he middle class expe ienced downwa d mobili y, while 42 %
emained s uck in he same economic class (Da an o & Can, 2023).
A signi ican po ion o he wo ld’s impo e ished popula ion esides
in middle-income na ions, and esiding in such a coun y does no
ensu e he socio-economic s abili y o he middle class (Rigg & Sims,
2022). The e is e idence ha economic inequali y and exclusion a e
isible in Indonesia and Malaysia. In Indonesia, a pe sis en pa e n o
J. Fische and E.F. Nisa
Resea ch in Globaliza ion 10 (2025) 100276
2
inequali y eme ged ollowing he shi o democ acy in he la e 1990s,
eaching i s peak in 2011, wi h income inequali y con inuing o ise o e
he pas ew decades (Tadjoeddin, 2019). Con ibu ing ac o s include
egional dispa i ies, pa icula ly in eas e n Indonesia, which lags behind
he wes e n egions in in as uc u e and economic oppo uni ies. The
weal hies segmen s o he popula ion ha e seen much highe g ow h in
incomes and consump ion compa ed o he poo es , leading o pe sis en
po e y, especially in a eas like Highland Papua, whe e abou one hi d
o he popula ion li es below he po e y line. As he wo ld’s ou h-
la ges popula ion, Indonesia aces he complexi y o middle-class li e.
De elopmen has o en been concen a ed in Ja a, c ea ing some o he
highes popula ion densi ies globally, while he eas e n p o inces
emain less de eloped. Addi ionally, acco ding o Indonesia’s Cen al
S a is ics Agency (BPS), he middle class has sh unk om 21.45 % in
2019 o 17.1 % in 2024. This decline is a ibu ed o he go e nmen ’s
classi ica ion o he middle class based on mon hly spending, which does
no accu a ely e lec hei g owing economic ac i i ies, pa icula ly in
sec o s like he halal indus y.
Al hough he numbe o people classi ied as middle class has
dec eased, he aspi ing middle class has g own. The obus spending
beha iou o his g oup is e iden in he expansion o indus ies like
halal, which con inues o be a key economic d i e . While many ha e
mo ed in o he middle class, hei incomes o en s agna e a le els
insu icien o upwa d mobili y in o highe -income b acke s. This
en apmen is pa icula ly e iden in sec o s like halal, whe e small and
medium-sized en e p ises (SMEs) mus inno a e and upg ade o mee
global ma ke s anda ds in o de o b eak ee om he ap. As Elias
(2020) highligh s in he case o Malaysia, compe i i eness has become a
key policy p io i y, wi h s a egies aimed a escaping he middle-income
ap no only a he na ional and local le els bu also a he indi idual
le el—pa icula ly o halal business playe s. The emphasis on
compe i i eness aligns wi h b oade economic e o ms ha seek o
enhance Malaysia’s economic s anding h ough benchma king ech-
nologies, policy ini ia i es, and ma ke -o ien ed e o ms (Elias, 2020).
Simila ly, Indonesia’s app oach o o e coming he middle-income ap
a a ious le els—na ional, local and indi idual— ocuses on inc easing
in es men in inno a ion, educa ion, and SME de elopmen , aiming o
os e long- e m sus ainable g ow h (Bas i & Pu a, 2016; Bas i, 2024).
Fo Malaysia, declining inequali y in i es u he and mul i ace ed
explo a ion, including s uc u al inequali ies in labou and asse ma -
ke s. Income inequali y in Malaysia has shown a mixed end o e ecen
yea s: o icial s a is ics indica e ha household income inequali y is
dec easing. Howe e , wage inequali y expe ienced a sligh inc ease
du ing he 2000s, cha ac e ized by apid g ow h in he highes income
b acke s. Addi ionally, bo h ca and p ope y sales demons a e a
g owing concen a ion o weal h a he op. The dis ibu ion wi hin he
la ges uni us unds indica es ising inequali y, p ima ily d i en by
accumula ion in he uppe -middle income segmen s. Resul s align wi h
widesp ead pe cep ions o inc easing inequali y and highligh he
complex na u e o inequali y, emphasizing he signi icance o s uc u al
dispa i ies in labou and asse ma ke s. Addi ionally, egional and e hnic
inequali ies pe sis , pa icula ly be ween a luen u ban a eas and
poo e u al egions. No able di e ences in po e y and income dy-
namics a e p onounced when compa ing he a luen u ban a eas o
Peninsula Malaysia wi h he economically disad an aged u al egions
o Eas Malaysia. The halal economy is dominan in Peninsula Malaysia
and he capi al ci y o Kuala Lumpu in pa icula . This ci y and i s many
a luen subu bs ha e aken cen e s age in middle-class de elopmen
(Fische , 2008).
An emphasis on gende poli ics p o ides a amewo k o examining
he poli ical and ins i u ional changes ha ha e occu ed alongside he
shi in s a e economic policymaking owa ds p io i izing compe i i e-
ness. In he con ex o Malaysia, his policy shi has been u he
in ensi ied by a pe asi e conce n ha he na ion is cu en ly ensna ed
in a ‘middle-income ap’, coupled wi h he ise o a mo e echnoc a ic
and co po a e-a ilia ed bu eauc acy wi hin he go e nmen (Elias,
2020). A guably, he e o s o educe e hnic inequali y ha e hinde ed
social equi y and ai income dis ibu ion: he p ima y obs acle o
Malaysia’s ad ancemen lies mo e in poli ical and social ac o s a he
han economic ones (Hill, 2012; Ja is, 2017; Ra allion, 2020). The e
also emains po en ial o po e y alle ia ion h ough he educ ion o
in e -e hnic inequali ies (Rongen, 2024). Thus, he coun y aces com-
plex socioeconomic challenges as he implemen a ion o he New Eco-
nomic Policy (NEP) aiming o c ea e a Malay middle class hinde s
Malaysia om implemen ing necessa y e o ms o mo e beyond he
“middle-income ap” ha i s economy is cu en ly acing. In sum, he
abo e p o ides a b oade and compa a i e pe spec i e o ou explo-
a ion o middle-class de elopmen and li es yles.
3. Middle-class de elopmen
The concep o class is cen al o global de elopmen deba es. While
he e is an ex ensi e li e a u e on he e i alized ela ionships be ween
eligion, humani a ianism, aid, and de elopmen (Ba ne & S ein,
2012; Ba ne , 2011; Ben hall, 2009; Fassin, 2012; Pe e sen, 2016;
Shushan & Ma coux, 2011), he ole o eligion in shaping global
de elopmen emains unde explo ed. Impo an ly, we explo e Muslim
middle-class g oups in Indonesia and Malaysia in he con ex o
“ad ancing new Islamic laws, as well as he ins i u ions o adminis e
and en o ce hem” (Feene & Foun ain, 2018: 6). This e lec s s a e-led
e o s o in eg a e Muslim pie y in o economic amewo ks, balancing
Islamic and Wes e n de elopmen models (Feene , 2013).
Despi e i s signi icance, he concep o middle class emains imp e-
cise while playing a c ucial ole in mode n economic s uc u es
(Walle s ein, 1991). The e m lacks a clea de ini ion in global de el-
opmen discou se, ye he eme gence o middle-class g oups in
Indonesia and Malaysia has become an economic ocal poin . De elop-
men s udies o en emphasise s a e policies designed o li people ou o
po e y by p o iding necessa y esou ces, oppo uni ies and income.
Social mobili y is equen ly amed as a ma ke o p og ess, wi h in-
di iduals and g oups mo ing in o he middle class. O en, wo socio-
logical heo ies a e u ilized o examine social s uc u e.
The i s o hese is a Ma xis pe spec i e o class ha ca ego izes he
popula ion in o he capi alis class ( inancial/indus ial), he wo king
class, he pe i bou geoisie (an olde middle class consis ing o small
p ope y owne s, independen a me s and business p op ie o s), and a
newe middle class o p o essionals and se ice p o ide s in he business
and co po a e sec o s. In his app oach o class analysis, he middle class
is examined in s uc u al e ms: social class is de ined by indi iduals’
abili y o consume, which o ms he ma ke ha capi alism elies on,
c ea ing a la ge consume base o suppo signi ican economic g ow h
in he se ices and manu ac u ing sec o s (Vel meye , 2018). Con en-
ionally, Ma xis class analysis in o ms much o in e na ional de elop-
men hinking and he pa adox is ha classes in Ma xis hinking a e
his o ical agen s – s uc u al/ma e ial o ma ions as well as in e sub-
jec i e en i ies – and he challenge is how o econcile hese wo aspec s
(Eagle on, 1990).
The second sociological heo y is Ho ne and Hulme (2019, 348)
a gumen o he ole o he middle class in global de elopmen : “Global
middle classes ha e g own in p ominence acco ding o many accoun s,
while he p opo ion o he wo ld popula ion li ing in ex eme po e y
has allen d ama ically by o icial measu es.” Mo eo e , “Claims o
con e gence can be suppo ed by he agg ega e GDP pe o mance o he
global Sou h, i s g owing sha e o middle class popula ion, agg ega e
ca bon emissions, and he eclassi ica ion o coun ies as middle income,
and also by heal h indica o s and educa ional en olmen .” (Ho ne &
Hulme, 2019). The ise o middle classes in he Global Sou h end o
o e shadow social mobili y in he Global No h (Ho ne , 2020). Mo e
b oadly, he eme gence o global de elopmen can be aced back o he
1990s and he end o he Cold Wa , which led o in ensi ied economic
in eg a ion and he c ea ion o a common u u e in an inc easingly
in e connec ed wo ld, d i en by global de elopmen hinking.
J. Fische and E.F. Nisa
Resea ch in Globaliza ion 10 (2025) 100276
3
A guably, mul ipola globaliza ion, building on he apid g ow h o
indus ializing economies in he Global Sou h, is eshaping global ade,
poli ics, inance, in es men and aid (Pie e se, 2017). In addi ion, many
de elopmen issues (e.g., clima e change, heal h, mig a ion, secu i y,
inequali y) a e inc easingly amed as global p oblems ha equi e
dis inc ly global esponses and solu ions p o ided by global ins i u ions
and policies (Schol e & S¨
ode baum, 2017). In a special issue o Global-
iza ions (Bowles & Vel meye , 2020), he e a e ib an and c i ical de-
ba es in bo h de elopmen and global s udies ega ding he na u e and
u u e o class o ma ion. We hink ha hese cons i u e an impo an
amewo k o global de elopmen while he e is oom o de eloping
he ocus on middle-class li es yles u he in he in e aces be ween
de elopmen and globaliza ion.
Many a gumen s agains global de elopmen ocus on wha is seen as
i s concep ual imp ecision such as ague/con lic ing de ini ions o he
e ms de elopmen , “ he global”, middle and class; i s ahis o ical na u e;
dis ega d o inequali y/po e y; and na ow ocus on China (Banks &
O e on, 2022; Fische , 2019; Hope, 2022; McKay, 2022; Sumne ,
2019). Exis ing class analyses (A sel, 2023; Gillespie, Ha dy, & Wa ,
2021) inspi ed by global de elopmen mos ly engage wi h class as a
means o explo e clima e change o u banism, o example.
Finally, we honou he call o ill he gap be ween he asse ions o
wo ldwide con e gence and indi iduals’ pe spec i es on incomes and
well-being (Bangu a, 2019). These ac o s should be a he o e on o
discussions on global con e gence. Ou analysis shows ha con empo-
a y examina ions o class and de elopmen can ad ance global de el-
opmen hinking. We belie e ha a con empo a y concep ualiza ion o
li es yle class analysis ills he gaps ound in mo e Ma xis -o ien ed
analyses and global de elopmen hinking.
A guably, class eme ges when indi iduals wi h sha ed expe iences
iden i y and exp ess hei in e es s in ela ion o one ano he , dis-
inguishing hemsel es om hose wi h di e ing and o en con lic ing
in e es s (Thompson, 1963). Ou s udy o middle-class li es yles aims o
unde s and class h ough pe sonal expe iences, mo ing away om he
ambigui y and agueness o he middle-class concep . Ou analysis is
guided by he sugges ion o explo ing he complexi y o class analysis by
examining alues, pe spec i es, li es yles, mo al belie s, iews on social
change and poli ical decisions (King, 2008). Ou con ex ualized and
compa a i e analysis o Muslim li es yles is inspi ed by app oaches ha
explo e how class “a e mobilized in a hos o displaced egis e s, i s
dis inc ions ca ied in a my iad o cha ged, locally modula ed signs and
objec s” (Coma o & Coma o , 2000: 306). The de elopmen o class
consciousness is in luenced by how hese expe iences a e cul u ally
handled, including adi ions, alues, ideas and ins i u ions. We show
ha u ban class p ojec s o li es yles in he Global Sou h (Liech y, 2002)
add speci ici y o he concep o middle class. The middle class is un-
doub edly ega ded as a signi ican ac o , ye his “new class” inds i -
sel in an uncom o able posi ion, eminiscen o he unde s anding o
he changing poli ical posi ions o he middle classes. They a e nei he
di ec ly in con ol o he means o p oduc ion and no a e hey able o
align hemsel es wi h he adi ional wo king classes (W igh , 1996).
The global middle classes in eme ging economies such as Indonesia and
Malaysia signi y a key a gumen in global de elopmen : globaliza ion
can os e economic p og ess as well as inc easing di isions be ween o
wi hin class g oups (Heiman, F eeman, & Liech y, 2012; Koo, 2016;
Ma sh & Li, 2016). Ou s udy en iches his li e a u e by ocusing on he
his o ical/e hnog aphic aspec s o middle-class li es yles.
I is easonable o a gue ha he subs an ial iden i y o classes p i-
ma ily esul s om he ac ions o social ac o s wi hin and be ween hose
classes. Unde s anding class and pe sonal class expe iences is c ucial in
explaining he concep o class, and his se es as a p e equisi e o
e ec i ely na iga ing class dynamics wi hin social spaces. Ou explo-
a ion o Muslim li es yles hinging on he s a e and ma ke s aims o
p o ide such a amewo k ha .
4. Middle class in con ex
We will now con ex ualize class ans o ma ion in Indonesia and
Malaysia. As we shall see, middle-class li es yles can bes be unde s ood
by examining hei his o ical/e hnog aphic con ex s, as his a oids
concep ual imp ecision such as con lic ing de ini ions o he e m
“middle class”. Mo al s a us signals (such as Muslim pie y as an econ-
omy) and na ional epe oi es (including his o y; mass media; he
s a e–ma ke nexus; educa ional sys ems; demog aphic mobili y and
s a i ica ion sys ems; as well as e hnic di e si y) a e c ucial in he
o ma ion o middle-class li es yles (Lamon , 1992).
As he wo ld’s la ges Muslim-majo i y coun y, Indonesia boas s a
p e alen Muslim middle class, wi h app oxima ely 90 % o i s 279
million popula ion iden i ying as Muslims in 2022. Be o e and du ing
he Du ch occupa ion, he oppo uni ies o Indonesians, o he p ibumi
(indigenous Indonesians), o join he middle class we e limi ed. Du ing
he Du ch Eas Indies pe iod (mode n-day Indonesia), he Du ch and
Chinese business classes domina ed (Mackie, 1992; Robison, 1996). In
he la e nine een h and ea ly wen ie h cen u ies, he e was only a mino
esu gence o Muslim en e p ises (He ne , 1997). Since he coun y’s
independence in 1945, oppo uni ies o build a middle class in Indonesia
emained limi ed, as he e a o he i s p esiden , Soeka no, was ma ked
by poli ical ins abili y. Economic challenges we e also p e alen , e i-
denced by limi ed indus ializa ion and es ic ed educa ion and job
oppo uni ies (Liddle, 1992).
The ans o ma ion o he middle class can be seen especially du ing
he New O de egime (1967–1998) o Indonesia’s second p esiden ,
Soeha o, which bene i ed om he oil boom in he 1970s. The in o-
duc ion o economic policies, coupled wi h he expansion o seconda y
and e ia y educa ion and inc eased u baniza ion, ma ked signi ican
changes (Mackie, 1992). Soeha o’s go e nmen emphasized economic
de elopmen , leading o he expansion o he (Muslim) middle class.
This expansion was u he d i en om he 1980s onwa ds when he
go e nmen adop ed ma ke libe aliza ion policies, opening up mo e job
oppo uni ies o Indonesians. A e he oil boom ended in he 1980s,
Soeha o op ed o expo -o ien ed indus ializa ion (Hadiz, 2014;
Robison, 1996).
The Muslim middle class became no iceable in he la e 1970s du ing
he Islamic esu gence in Sou heas Asia, pa icula ly in Indonesia and
Malaysia. The es ablishmen o he Associa ion o Indonesian Muslim
In ellec uals (ICMI, Ika an Cendekiawan Muslim Se-Indonesia) by BJ
Habibie in 1990, suppo ed by Soeha o, is impo an in discussing he
g ow h o he Muslim middle class. He ne , o example, has shown ha
he es ablishmen o ICMI, consis ing o well-educa ed, middle-class
Muslims, was a poli ical esponse o he social/economic ma ginaliza-
ion o he p ibumi middle class (1993, 1997). A he same ime, he
de elopmen in oduced by Soeha o also c ea ed inequali ies, leading
many middle-class Indonesians o become disillusioned wi h his egime.
This disillusionmen was exace ba ed by he economic c isis and he
subsequen all o Soeha o in 1998.
Today, no s udy on Indonesia can a oid discussing i s middle-class
popula ion, as he majo i y o he coun y’s cu en popula ion now
alls in o his ca ego y. This discussion has gained u he signi icance
wi h he announcemen by he Wo ld Bank in 2023 ha Indonesia has
eclaimed i s posi ion as an uppe -middle-income coun y, wi h a g oss
na ional income (GNI) pe capi a o USD $4,580 in 2022 (Wo ld Bank,
2024a; Wo ld Bank, 2024b), a e being downg aded o lowe -middle-
income coun y in 2020. The obus pu chasing powe o he middle
class played a subs an ial ole in his achie emen . A he na ional le el,
Indonesia aces he po en ial isk o alling in o he middle-income ap.
The ambi ion is o Indonesia o escape his ap be o e 2045, as pa o
he Indonesia Emas (Golden Indonesia) 2045 ision. The ques ion now
is: gi en Indonesia’s cu en po olio, does i ha e he necessa y con-
di ions o con inue mo ing up he economic ladde ? As we men ioned
ea lie , looking he ap a a ious scales—na ional, local, and indi id-
ual— he eali y is ha Indonesia’s middle class is highly ulne able o
J. Fische and E.F. Nisa
Resea ch in Globaliza ion 10 (2025) 100276
4
po e y and could emain apped in he same income b acke . The e-
o e, some analys s sugges ha a he han ocusing solely on he
go e nmen ’s obsession wi h becoming a high-income coun y, i would
be mo e p uden o he go e nmen o ocus on building a s ong middle
class (see, o ins ance, Da an o & Can, 2023) capable o d i ing he
Islamic economy sec o , o example. This is pa icula ly ele an gi en
ha he halal indus y and he b oade Islamic economy ha e al eady
become in eg al o Indonesia’s de elopmen agenda, as ou lined in he
Rencana Pembangunan Jangka Menengah Nasional (RPJMN, Na ional
Medium-Te m De elopmen Plan) 2025–2029 and Rencana Pemban-
gunan Jangka Panjang Nasional (RPJPN, Na ional Long-Te m De el-
opmen Plan) 2025–2045.
Abdu ahman Wahid, also known as Gus Du , he ou h p esiden o
Indonesia (1999–2001), a gued ha unlike he middle class in many
o he coun ies, which is p edominan ly composed o en ep eneu ial
g oups, he backbone o he middle class in Indonesia consis s o p o-
essionals, ci il se an s, mili a y o ice s and academics (1992) and i
s ill holds ue oday. The di e ence now is he no able expansion o and
emphasis on he middle-class li es yle. Re lec ing on Indonesian his o y,
Gus Du a gued ha as he poli ical app oach o he Muslim ulama
( eligious schola s) coun e -eli e ailed o achie e he basic objec i e o
a Muslim s a e, Muslim middle-class g oups esponded in wo ways:
suppo ing a na ionalis agenda and main aining hei dis inc cul u al
iden i y (Wahid, 1992). This con ex helps explain why, h oughou
Indonesian his o y, middle-class Muslims om a ious Islamic o
Islamis a ilia ions ha e been eage o accen ua e hei dis inc Islamic
li es yles.
The Chinese dominance in Indonesia has spa ked widesp ead
esen men among Indonesians. An i-Chinese sen imen pe sis s, exac-
e ba ed by he economic gap be ween Muslims and Chinese in business
(Hadiz, 2014). In esponse, he go e nmen implemen ed in e en-
ionis policies, such as “ ade monopolies in he 1950s; equi emen s in
he 1970s ha Chinese business g oups alloca e equi y pa icipa ion o
small (i.e. indigenous) business and ha banks a ou indigenous in-
es o s in c edi ; p e e en ial alloca ion o small go e nmen con ac s
in he 1980s” (Robison, 1996: 101). By he 1990s, he Bank o Indonesia
manda ed ha banks alloca e 20 % o hei loan po olios o small
businesses, con ibu ing o he g ow h o he small middle class.
As p e iously no ed, we emphasize he impo ance o s udying he
li es yle o he Muslim middle class o unde s and i s de elopmen in
bo h Indonesia and Malaysia. This app oach allows us o explo e no
only social mobili y, as emphasized by Dick (1985), bu also modes o
consump ion and he signi icance o consume du ables in exp essing
eligious sen imen s. The ise o he halal economy o Muslim pie y as an
economy ma ks a depa u e om he applica ion o colonial-e a Wes -
e nized middle-class li es yles, desc ibed by Dick as adop ing a “Coca-
Cola cul u e”, o con empo a y Muslim middle-class li es yles. Young
u ban middle-class indi iduals p oudly exp ess hei Muslim iden i y
h ough halal p ac ices. Re lec ing his shi , global b ands such as Coca-
Cola ha e secu ed halal ce i ica ion and ha e been ully halal-ce i ied
since he 1990s by he Majelis Ulama Indonesia o Indonesian Ulemas
Council (MUI) and Jaba an Kemajuan Islam Malaysia o Islamic
De elopmen Depa men o Malaysia (JAKIM). This shi does no
imply a con e gence wi h Wes e n middle-class li es yles (Dick, 1985),
bu a he signi ies an al e na i e celeb a ion o Muslim middle-class
iden i y, di e ging om Wes e n consume p e e ences wi hou de el-
oping an an i-Wes e n s ance.
Malaysia has expe ienced s eady g ow h since gaining independence
in 1957, hanks o i s e icien bu eauc acy and ca e ul mac oeconomic
managemen led by he Uni ed Malays Na ional O ganisa ion (UMNO),
he dominan poli ical pa y in Malaysia. Howe e , UMNO’s in luence
has waned in ecen yea s amid shi ing poli ical dynamics. The coun y
is p og essing owa ds achie ing high-income economy s a us, wi h he
gap be ween i s GNI pe capi a and he minimum h eshold o high-
income economies s eadily dec easing. In 2020, he coun y was
20.4 % below he minimum h eshold o USD $12,696, a signi ican
imp o emen om he 62.6 % gap eco ded in 1991 (Economic Planning
Uni , 2021: 5). Acco ding o he Wo ld Bank (2024), Malaysia is clas-
si ied as an uppe -middle-income coun y. Malaysia has expe ienced
apid income-po e y educ ion, one o he as es a es globally, o e
he pas i e decades.
Acco ding o he cons i u ion, indi iduals a e conside ed Malays i
hey a e Muslim, speak Malay (Bahasa Melayu o Bahasa Malaysia) and
adhe e o Malay cus oms. The Malay middle class is he la ges and
as es -g owing segmen in Malaysia. In 2024, Malaysia’s popula ion o
app oxima ely 34 million is composed o 50 % Malays, 23 % Chinese,
12 % indigenous Bumipu a (li e ally, sons o he soil) g oups o he han
Malays, 7 % Indians and 1 % o he e hnic g oups. Non-ci izens make up
a ound 8 % o he coun y’s esiden popula ion.
P io o he B i ish colonial pe iod, he main social classes we e he
a is oc acy, he peasan y and a me chan class. Wi h he onse o B i ish
economic dominance in he ea ly wen ie h cen u y, new classes began
o ake shape. These eme ging classes included a Eu opean bou geoisie,
Chinese comp ado s, Indian moneylende s, a small numbe o Eu opean
o ice s, junio Malay adminis a o s, Asian whi e-colla wo ke s and a
g owing p ole a ia (p edominan ly Chinese and Indian). The o ma ion
o social classes became mo e e iden in he pos -independence e a
(Embong, 1998). Al hough he s a e plays a signi ican ole in shaping
he Malay middle class, he in luence o he ma ke and capi alis modes
o p oduc ion in a global con ex should no be unde es ima ed. As we
shall see, ou analysis mo es beyond ce ain Ma xis analyses: he e, class
con lic is iden i ied as he p ima y d i ing o ce o his o ical change
(Jomo, 1986). This pe spec i e po ays class as some hing inhe en ly
de e minis ic, objec i e and s able, seemingly beyond di ec human
in luence.
The go e nmen implemen ed he New Economic Policy (NEP) in he
1970s and hese policies ha e been in place e e since. The aim o he
NEP was o c ea e a Malay middle class, ha is, accele a e Malay social
mobili y is-`
a- is he Chinese communi y ha is seen as embodying a
capi alis and en ep eneu ial e hic (li es yle). As a consequence o he
NEP, Malay business owne ship ose and in he educa ional sys em, no
leas Islamic educa ion, p e e en ial quo as mean ha mo e Malays
we e ac i ely con ibu ing o he economy – hese changes a e unda-
men al o middle-class li es yles hinging on educa ion and en ep e-
neu ship. Thus, he Malay middle class is o a la ge ex en a p oduc o
UMNO/go e nmen policies.
Since independence, bold plans in Malaysia ha e de ined he na-
ion’s de elopmen s a egies. In 1991, PM Maha hi Mohamad, who
can be conside ed he leading igu e in mode n Malaysian his o y and
a chi ec behind he NEP, launched Vision 2020. This g and plan en i-
sioned Malaysia as a ully de eloped na ion by he yea 2020 hinging on
he social mobili y o he Malay middle class. In he Twel h Malaysia
Plan (Economic Planning Uni , 2021), he Sha ed P ospe i y Vision 2030
o WKB 2030 was in oduced as he successo o Vision 2020. Key o
WKB 2030 is he na ional agenda o socioeconomic de elopmen o
Bumipu e a: he aim is o s eng hen human capi al de elopmen ;
enhance business esilience/weal h c ea ion; and inc easing sus ainable
Bumipu e a co po a e equi y owne ship. Speci ically, he e is a ocus on
“upli ing” he bo om 40 % o income ea ne s o membe ship o a
middle-class socie y (Economic Planning Uni , 2021: 5.1). Addi ionally,
mo e a en ion will be gi en o building an e ec i e and accoun able
public sec o o mee ising expec a ions, d i en by ad ancemen s in
echnology and a g owing “middle-income class” (Economic Planning
Uni , 2021: 13-2). This necessi a es he de elopmen o ex ensi e
aining p og ammes and suppo sys ems o cul i a e a di e se g oup o
op- ie p o essionals wi h he necessa y skill se s. The go e nmen
sough ad ice om in e na ional o ganiza ions, mos no ably he Wo ld
Bank, o ensu e ha his de elopmen al agenda is in line wi h global bes
p ac ices. Ob iously, he Malay middle-class plays a key ole in
Malaysian de elopmen s a egies – bo h wi hin middle-class g oups and
in go e nmen discou se.
The eme gence o di e en dakwah g oups, which a e essen ially
J. Fische and E.F. Nisa
Resea ch in Globaliza ion 10 (2025) 100276
5
in i a ions o sal a ion, du ing he esu gence o Islam in Malaysia since
he 1970s has led o he de elopmen o new Malay middle-class li e-
s yles. Dakwah, which is insepa able o m Malay e hnici y and localized
poli ics, con on ed secula aspec s o he Malaysian s a e and na ion.
Simila ly, he popula Islamic opposi ion Pa i Islam SeMalaysia (PAS)
oge he wi h dakwah g oups challenged he UMNO-go e nmen and
he s a e i sel o being o e ly secula an un-Islamic. Con e sely, he
s a e and mo e secula g oups c i iqued dakwah and ulama o ep e-
sen ing a decline o Islam ha a ogan ly ejec ed secula de elopmen
and knowledge (Milne & Mauzy, 1999).
In Indonesia and Malaysia, he ise o he middle class pa alleled he
egion’s economic de elopmen om he mid-1980s onwa ds. In bo h
coun ies, economic libe aliza ion has been closely linked o he
inc easing in luence o Islam in he public sphe e, e iden om he
eme gence o a Muslim pie y as an economy, no leas he g ow h o
halal indus ies suppo ed and egula ed by s a e ins i u ions. This
ela ionship be ween eligious esu gence and he g ow h o he middle
class, key o s a e policies and capi alism, is deepening in Indonesia and
Malaysia; ha is, middle-class belie e s a e becoming mo e eligious
and zealous in exp essing hei eligious li es yles (Rudnyckyj, 2014).
5. Muslim middle-class li es yles: Rising a luence and
eligiosi y
A Webe ian (1978) heo y o social s a i ica ion ocuses on li e-
s yles, which a e in eg al o class s uc u es, consump ion and he social
inclusion/exclusion o g oups – o example, conside ing he middle
class as a class o i sel . Howe e , a he same ime, he p esence o he
Muslim middle class challenges Webe (1966) sugges ion ha mode n-
iza ion leads o he g ea e secula iza ion o socie y. We belie e ha a
con empo a y concep ualiza ion o li es yle class analysis ills he gaps
in mo e Ma xis -o ien ed analyses as well as global de elopmen
hinking. This app oach p o ides a compelling lens h ough which o
unde s and he in e connec ion be ween social s uc u es and indi idual
ac ions (Bou dieu, 1984; Dick, 1985; Fea he s one, 1987; Haen le ,
2019; Webe , 1978). The assump ion o he pe o ma i i y o social
p ac ices (Bou dieu, 1990) is cen al o he ocus on middle-class li e-
s yles. Middle-class li es yles a e u he en iched by speci ic p ac ices in
daily li e, leading o he concep ualiza ion o class as a p oduc o human
in e ac ions.
In bo h Indonesia and Malaysia, he eme gence o middle-class
g oups is a na ionwide phenomenon, bu o pa icula impo ance in
he capi al ci ies and subu bs o Jaka a and Kuala Lumpu . Middle-class
li es yles se e as isible mani es a ions o he Tige Cub economies. We
will now u n o explo e wo sphe es o dimensions o u ban middle-
class li es yles: s a e and ma ke .
5.1. S a e: Educa ion and science
A key aspec o middle-class li es yles is he s a e, ha is, educa ion,
science and bu eauc acies. The issue o middle-class de elopmen and
educa ion in Indonesia is especially pe inen gi en he coun y’s de-
mog aphic bonus. Indonesia ecognizes he as po en ial o i s la ge
middle class and you h ul popula ion, which is c ucial o he coun y’s
con inued economic g ow h. This aligns wi h Elias’s analysis o Malaysia
(2020), whe e he p olonged middle-income ap has made i clea ha
in es ing in human capi al is i al. Fo Indonesia, his means expanding
p og ams like Lembaga Pengelola Dana Pendidikan (LPDP, Indonesia
Endowmen Fund o Educa ion Agency) schola ships, which unds he
bes young minds o s udy ab oad o in he coun y o help build he
na ion. This app oach would con ibu e o os e ing a young, and
inno a i e middle class, which is essen ial o b eaking ee om he
middle-income ap and d i ing sec o s like he Islamic economy and he
bu geoning halal indus y. Howe e , building human capi al mus s a
om he g ound up, and wha is conce ning, in es men in ea ly
childhood educa ion in Indonesia emains low (Se yonalu i, Ramadhan,
& Na hanael, 2023). As Elias (2020) obse ed in Malaysia, whe e he e
is a ocus on cul i a ing skilled, compe i i e wo ke s o add ess he
middle-income ap, Indonesia aces a simila challenge.
I is di icul o concei e o middle-class li es yles wi hou educa ion
as a o m o social mobili y, especially wi h he ocus on Islamic edu-
ca ion in Indonesia and Malaysia. Ini ially, he middle class in bo h
coun ies consis ed o he educa ed class. Since he 1970s, howe e , as
educa ion expanded a all le els – p ima y, seconda y and e ia y–i has
become a less clea indica o o social class. This is e iden in Indonesia,
o example, wi h he apid expansion o seconda y educa ion since he
la e 1970s, while Malaysia’s educa ion sys em de eloped ea lie , as
e idenced by he signi ican p esence o emale s uden s in he 1970 s. In
he wake o dakwah mo emen s, educa ion and esea ch in Indonesia
and Malaysia we e mo e hea ily shaped by Islamiza ion, wi h go e n-
men s inc easingly unding Islamic educa ion a all le els. Ou esea ch
shows ha while educa ion, pa icula ly e ia y educa ion, is no longe
a clea ma ke o middle-class s a us, i emains a key d i e o class
o ma ion by p o iding indi iduals wi h he quali ica ions and oppo -
uni ies necessa y o occupa ions and incomes associa ed wi h a
middle-class li es yle. Fu he mo e, he agenda o he “Islamiza ion o
knowledge”, wi hin he b oade con ex o he ins i u ionaliza ion and
bu eauc a iza ion o eligious exp ession, aims o in eg a e “secula ”
educa ion and social sciences wi h Islamic s udies.
This in eg a ion holds pa icula signi icance o he g ow h o he
u ban Muslim middle class in bo h coun ies. In Indonesia, he ans-
o ma ion o Islamic highe educa ion began wi h he S a e Ins i u e o
Islamic S udies (IAINs) in 1960, e ol ing in o s a e Islamic uni e si ies
(UINs) in 2002. This ans o ma ion has been ins umen al no only in
os e ing he g ow h o he Muslim middle class bu also in cul i a ing an
u ban p o essional Muslim middle class engaged in halal indus y-
ela ed domains, which is especially p e alen in he cosmopoli an
capi al, Jaka a. Since his ans o ma ion, o example, he h ee mos
popula majo s a UINs na ionwide ha e been Islamic inancial man-
agemen , Islamic economics and Islamic banking. I is no ewo hy,
howe e , ha he idea o Islamiza ion o knowledge in Indonesia
eme ged as ea ly as he la e 1970s. In Malaysia, he e ou o Islami-
za ion o knowledge is no ably e iden h ough he es ablishmen o he
In e na ional Islamic Uni e si y Malaysia (IIUM) in 1983 and Syed
Muhammad Naquib al-A as’s Ins i u e o Islamic Though and Ci ili-
za ion in 1987 (Nisa, 2023b).
The la es de elopmen in Indonesia conce ning he in e aces be-
ween educa ion, halal- ela ed indus ies and he s a e can especially be
seen a he end o P esiden Susilo Bambang Yudhoyono’s e m, wi h he
issuance o Law No. 33 o 2014 abou Halal P oduc Assu ance. This
bu eauc a iza ion o halal makes ob aining halal ce i ica es manda o y,
no olun a y, o p oduc s a ge ing Muslim consume s. This has
spu ed a signi ican e o o cul i a e an u ban p o essional Muslim
middle class capable o mee ing his manda e. The Na ional Commi ee
on Sha ia Economics and Finance (KNEKS), es ablished in 2016 as a
non-s uc u al ins i u ion led by he p esiden o Indonesia, has been
asked wi h accele a ing, expanding, and ad ancing he de elopmen o
Sha ia economics and inance in Indonesia. Since 2019, KNEKS has
collabo a ed wi h Indonesian uni e si ies o p epa e human esou ces
o con ibu ing o he de elopmen o he halal indus y, including Is-
lamic economics. Be ween 2019 and 2020, KNEKS signed Memo anda o
Unde s anding wi h 80 uni e si ies o design cu icula o Bachelo ’s
and pos g adua e deg ees in Sha ia economics. These collabo a ions
wi h academics in ol e de eloping ex books ailo ed o hese p o-
g ammes wi hin he halal indus y. In addi ion, Indonesia’s ambi ion o
become a global leade in he halal sec o has led o he es ablishmen o
a ious go e nmen -suppo ed halal esea ch cen es a uni e si ies
na ionwide, ollowing Malaysia’s ea lie ini ia i es in his ield. In he
sec o o s eng hening halal educa ion/science, om 2022 onwa d, he
go e nmen , h ough i s Na ional Resea ch and Inno a ion Agency
(BRIN), has es ablished h ee labo a o ies wi h he aim o making hem
Indonesia’s e e ence labo a o ies o halal- ela ed esea ch. The
J. Fische and E.F. Nisa
Resea ch in Globaliza ion 10 (2025) 100276
6
subs an ial g ow h in hese in e sec ions o he s a e, halal ma ke s and
eligious pie y is pa icula ly e iden pos he enac men o he Halal
P oduc Assu ance law and he inc easing p esence o a Muslim middle
class.
In Malaysia, dakwah shaped he educa ional sys em and no leas
highe educa ion. Consequen ly, he numbe o go e nmen - unded
educa ional ins i u ions a all le els expanded. Many highe educa-
ional ins i u ions such as he Uni e si y o Malaya, he la ges and
oldes uni e si y in he coun y a e ound in and a ound Kuala Lumpu .
O he uni e si ies include he In e na ional Islamic Uni e si y Malaysia.
Educa ion is clea ly in eg al o middle-class li es yles, bu in Malaysia
his has aken a unique o m: he Islamic Science Uni e si y o Malaysia
(USIM) is home o he Ins i u e o P ope y Managemen & Islamic
Finance, he Ins i u e o In e na ional Fa wa Managemen & Resea ch,
he Facul y o Sya iah & Law, as well as he Ins i u e o Halal Resea ch &
Managemen (IHRAM). As a cen e o excellence, IHRAM specializes in
Islamic esea ch, educa ion and aining as well as se ices, consul a ion
and labo a o y analyses wi h speci ic ocus on halal. Fo example, he
IHRAM labo a o y uses echnology and echniques o loca e po k,
alcohol and any o he sou ces o con amina ion in ood/d ink.
This ype o Islamiza ion o knowledge and science in Malaysia build
on s a e suppo / egula ion, dakwah as well as ma ke in e es s (Fische ,
2015), ha is, close coope a ion and pa ne ship be ween esea ch in-
s i u ions and businesses ha wish o comply wi h halal equi emen s.
An example o a company ha coope a es wi h IHRAM is Nes l´
e, he
wo ld’s la ges ood company. IHRAM and Nes l´
e o e join Halal@-
School wo kshops wi h a ocus on p ope halal awa eness among
schoolchild en. In esponse o dakwah, he s a e Islamized he educa-
ional sys em and educa ion/occupa ion a e essen ial aspec s o Muslim
middle-class li es yles ela ed o he Islamic economy (Sloane-Whi e,
2018). Thus, middle-class li es yles in Malaysia a e o a la ge ex en
shaped by hese e o s o make Islam, educa ion and science
compa ible.
In sum, a key aspec o Muslim middle-class li es yles is educa ion,
and e en cu icula in con en ional schools a e condi ioned by Islamic
schooling. In bo h Indonesia and Malaysia, he Muslim pie y economy
hinges on he na ionaliza ion o halal equi emen s ca e ing o Muslim
middle-class conce ns, p o iding assu ances o p oduc au hen ici y and
pu i y h ough s a e- egula ed ce i ica ion p ocesses – and educa ion,
esea ch and science a e key o hese p ocesses.
5.2. Ma ke : Consume s and businesses
The halal indus y is h i ing in Indonesia due o he cu en g ow h
o i s main ma ke , he Muslim middle class. Va ious ac o s ha e uelled
he halal enzy in he coun y, wi h he inc easing spending powe o
middle-class consume s being pa icula ly no able. The global end also
poin s o he g owing amoun o Muslim spending. Fo ins ance, he
S a e o he Global Islamic Economy (SGIE) Repo o GIEI (Global Is-
lamic Economy Indica o ), i s launched in 2013, men ions ha Muslim
consume s spen USD $2.29 illion in 2022. This ep esen s a 9.5 %
inc ease in Muslim consume spending compa ed o he p e ious yea .
In 2023, acco ding o Aqil I ham, he o me head o Badan Penye-
lengga a Jaminan P oduk Halal (BPJPH) o Halal P oduc Assu ance
O ganizing Body, Indonesian Muslims spen app oxima ely USD $135
billion pe yea .
Howe e , he g ow h o he halal economy in Indonesia emains
hea ily concen a ed wi hin mic o, small, and medium en e p ises
(MSMEs), p edominan ly loca ed in he wes e n egions o he coun y.
Fo ins ance, he op i e p o inces wi h he highes numbe s o halal-
ce i ied p oduc s a e Wes Ja a, Cen al Ja a, Eas Ja a, Lampung,
and Yogyaka a. In con as , p o inces in Eas e n Indonesia—including
Kaliman an, Sulawesi, Nusa Tengga a, Maluku and Papua—con inue o
lag signi ican ly behind. Gi en ha MSMEs con ibu e 61 % o Indo-
nesia’s GDP, and 64.5 % o hese en e p ises a e led by women en e-
p eneu s, upg ading halal MSMEs is a c i ical s ep owa d add essing
egional dispa i ies and eeing Indonesia om he middle-income ap.
F om ou esea ch, we lea ned ha BPJPH eli es, o example, o en
men ioned ha he e o equi es no only os e ing inno a ion bu also
encou aging hese en e p ises o enhance hei p oduc s by ob aining
halal ce i ica ion, enabling hem o compe e in he expanding global
halal ma ke .
As men ioned abo e, we belie e ha ocusing on he li es yles o he
Muslim middle class is impo an o unde s anding he g ow h o his
g oup in bo h coun ies. This app oach enables us o examine no only
hei income in e ms o social mobili y (Dick, 1985), bu also hei
“mode o consump ion” and, mo e impo an ly, how “consume du a-
bles” a e used and app ecia ed in ela ion o hei pious exp essions. The
cu en p oli e a ion o halal li es yle- ela ed consump ion, howe e ,
ep esen s a di e en ajec o y om he ea lie image o middle-class
li es yles p e alen since colonial imes in he a chipelago. This cu -
en Muslim middle-class li es yle end can be seen, o example, among
u ban young middle-class indi iduals who p oudly showcase being
Muslim, endy and cool by wea ing s ic e Muslim ashion and
consuming halal ood.
Young middle-class Muslims, eage o e u n o hei eligion, a e
pa icula ly impo an in he de elopmen o Islamic- ela ed businesses.
These young middle-class Muslims celeb a e his unde s anding: “Sem-
akin kaya, semakin eligious, dan semakin sada en ang halal li es yle” (The
iche hey become, he mo e eligious hey a e, and he mo e awa e
hey a e o he halal li es yle). This aspec , un o una ely, was no
cap u ed in Kompas’s (1992) esea ch on Jaka a’s young p o essionals
in he 1980s. This is unde s andable because, al hough he esu gence o
pie y began in he la e 1970s/ea ly 1980s, he no iceable g ow h o he
young middle class becoming mo e eligious has been especially sig-
ni ican om he 2000s onwa ds.
The mos no able cu en de elopmen is he g owing li es yle o he
hij ah ( eligious enewal, li . mig a ion) mo emen , which emphasizes
Muslims ans o ming in o be e Muslims (Nisa, 2023a). This mo e-
men has gained signi ican popula i y among u ban young Muslims,
especially ollowing he in ol emen o public igu es who ha e joined
a ious conse a i e mo emen s o become be e Muslims. Addi ion-
ally, conse a i e p eache s wi h halal business en u es ha e inc eas-
ingly le e aged social media pla o ms o c ea i ely engage hei young
ech-sa y audiences. He ne (1997) a gued ha du ing he 1980s, he
new Muslim middle class was p ima ily inspi ed by Islamic e hics.
Today, we obse e a g owing end among young middle-class Muslims
who a e b oadening hei engagemen wi h Islamic alues. Inc easingly,
Muslim middle-class indi iduals ecognize ha being a middle-class
Muslim is no me ely abou belonging o a “consume class”; i also
encompasses in eg a ing hese alues in o hei e e yday li es.
Consuming halal ood and wea ing Muslim ashion a e no only ac s o
eligious exp ession bu also means o signalling hei iden i y and how
hese goods shape hei li es yle s a emen s. As a p oduc o human in-
e ac ions, he concep o class should be seen as ela ional; i e lec s no
only how indi iduals iew hemsel es h ough hei consump ion
choices bu also how hey pe cei e and ela e o hose a ound hem.
Economic g ow h, poli ical/social s abili y and mode n Islamic in-
s i u ions (Pele z, 2002) ame he eme gence o Malay middle-class
li es yles. Malaysia’s posi ion as a global leade in halal has come
abou pa ly because he s a e na ionalized he halal economy since he
1980s and subjec ed local as well as mul ina ional companies o s ic
halal egula ion. As we saw i in he case o N´
es le abo e, manu ac u ing
companies o e a lens h ough which we can explo e di e en middle-
class g oups in he pie y economy (Fische , 2015): managemen in
companies, egula o s/bu eauc a s ha en o ce laws as well as con-
sume s. Among Malay middle-class g oups he expanding pie y econ-
omy is o en seen as p ope Islamic consump ion (Fische , 2008) in
e e yday li e in households – o example only consuming halal p oduc s
ce i ied as such by JAKIM.
Two opposing Malay middle-class li es yles, o en no ed in ou
esea ch, is wo h men ioning he e (Fische , 2008, 2011): one li es yle is
J. Fische and E.F. Nisa
Resea ch in Globaliza ion 10 (2025) 100276
7
cha ac e ized by p ope Islamic consump ion o ull suppo o Muslim
pie y as economy. Speci ically, his li es yle embodies being as idious
abou e e yday consume choices and a guing ha he pie y economy is
elas ic and expansi e, ha is, he a ailabili y o p oduc s/se ices
conside ed p ope o Muslims is a mo al impe a i e. Con e sely, mo e
p agma ically inclined Malays who a gue ha he pie y economy has
become excessi e and ma e ialis ic. A woman in o man in he 40s
summed up he ambi alence o esis ance owa ds he pie y as economy
li es yle: “Islamic belie alone should be ine.” Howe e , he gene al
endency is o see ha “Sha ia compliance” is gi ing shape o an
inc easingly s ingen pie y economy domina ed by he idealiza ion o
Islamic li es yles.
The abo e indings, which a e also applicable o he Indonesian
con ex , a e amed by halal in companies – no leas mul ina ional
companies such as Nes l´
e Malaysia: he i s mul ina ional o become
ully halal ce i ied in 1994. Ce i ica ion o halal p oduc s p o ides
assu ance ha hese a e manu ac u ed, impo ed and dis ibu ed unde
hygienic and sani a y condi ions in he pie y economy. Mo eo e ,
p oduc s and p emises o halal manu ac u ing ha e been inspec ed and
ha e ea ned ce i ica ion by ecognized Islamic bodies such as JAKIM
and MUI. An impo an insigh om ou esea ch is ha wi h ega d o
halal, global capi alism has made peace wi h cul u al di e si y, ha is,
mul ina ionals ecognize as idious Muslim middle-class g oups and
ca e o hei as e p e e ences, no leas in he pie y economies o
Muslim Sou heas Asia. As no ed abo e, he pie y economy is inc eas-
ingly elas ic and expansi e. Fo example, in Jaka a and Kuala Lumpu
land, p ope y and shel e a e esigni ied in he con ex o neolibe alism,
inancializa ion, consume cul u e and Islamic inance. Islamic banking
and inance ha e been globalized, and he ques ion o iba (in e es ) is
essen ial in he con ex o mo gages, loans and pe sonal inance p od-
uc s aimed a middle-class g oups (Re hel, Elias, & Tilley, 2020).
To sum up, middle-class li es yles in Indonesia and Malaysia embody
he expansion o he elas ic and expansi e pie y economy in ol ing
p e e ences, as e, handling, p esen a ion and con ex . We see a gene al
adhe ence o halal p inciples in ou esea ch, demons a ing ha
Muslim middle-class li es yles o a la ge ex en a e abou he pie y
economy. Halal is key in he his o ies and cul u es o he companies we
s udied. As one company ep esen a i e explained, wi hin he las de-
cades, s a e ce i ica ion bodies in Indonesia and Malaysia ha e “disci-
plined” companies, and companies ac oss Muslim Sou heas Asia a e
aced wi h his ac . In o he wo ds, in Indonesia and Malaysia, egula-
o y ins i u ions a e disciplining companies wi hin he con ex o a
Muslim pie y economy domina ed by g owing middle-class g oups.
6. Discussion and conclusion
The wo uppe -middle-income coun ies o Indonesia and Malaysia
exhibi dis inc pa hs o de elopmen . Zooming in on he his o y o
middle-class g ow h, i becomes e iden ha de ining who cons i u es
he Muslim middle class is no s aigh o wa d. Howe e , his s udy
e eals con e gence wi hin hese wo coun ies ega ding he de elop-
men o he Muslim middle class, shaped signi ican ly by s a e in-
e en ions, especially amid Chinese dominance on he one hand and a
Muslim pie y as an economy in he con ex o libe alized ma ke s on he
o he . The g ow h o he middle class coincides wi h a global esu gence
o pie y, in luencing di e se exp essions o Muslim li es yles. The edu-
ca ion o indigenous Muslims plays a c ucial ole in he de elopmen o
he Muslim middle class. Global ma ke o ces, a he same ime, ha e
signi ican ly ans o med educa ional ins i u ions in hese coun ies,
acili a ing he eme gence o a p o essional Muslim middle class. This
ins i u ionaliza ion o Islamic knowledge pa allels he bu eauc a iza ion
o halal economic p og ess, e idenced by policies and egula ions
in oduced in bo h coun ies. The inc easing p esence o an u ban
Muslim middle class has c ea ed a new spec um o en husiasm o
celeb a ing Muslim li es yles. I is impo an o ecognize ha middle-
class li es yles can a y widely, wi h no all middle-class Muslims in
hese coun ies op ing o a halal li es yle. Thus, di e gence pe sis s e en
wi hin he domain o Muslim middle-class halal li es yles, e lec ing
di e se eligious and ideological a ilia ions.
In he con ex o he Muslim middle class, deba es su ounding
p ope Islamic consump ion hold pa icula signi icance. The shaping o
Muslim middle-class li es yles occu s a he in e sec ions o e i alis
Islam, consume cul u e and he ambiguous ealm o e e yday
espec abili y. The e is a ension be ween he desi es o he s a e and
ci il socie y o ganiza ions, on he one hand, and he aspi a ions o in-
di iduals in hei daily li es, on he o he . Bo h pa ies seek o es ablish
and main ain cul u al, eligious and social cohesion. Middle-class li e-
s yles eme ge as men al and social nego ia ions be ween he opulence
and excess o he eli e class and he economic necessi ies aced by he
lowe classes. This dynamic is e lec ed in he ongoing discussion su -
ounding wha cons i u es “balanced” o app op ia e Islamic consump-
ion. Speci ically, a key inding is ha he Muslim middle class is
concei ed as an in e subjec i e en i y o a class o i sel wi hin he pie y
economy. Ou in o man s would o en e e o hemsel es and hei
child en as middle class in e ms o educa ion and occupa ion, li ing
signs o en ep eneu ial spi i and social mobili y. This again enabled
hese indi iduals and g oups o p ac ice p ope Muslim consump ion.
The o ma ion o he middle class in Indonesia and Malaysia does no
con o m o a s ic ly de e minis ic, symme ical, o unc ional ame-
wo k, as sugges ed by ce ain Ma xis analyses, and nei he is class
o ma ion and he middle class as ague as in global de elopmen . Mo e
in angible e ec s o class such as eligion and e hnici y a e excluded
om hese analyses. Mos o all, we ha e ocused on middle-class li e-
s yles in he con ex s o he s a e and ma ke , bu also no ed wide global
ans o ma ions. C ucially, li es yles play a i al ole in shaping class
hie a chies, consump ion pa e ns, and he social in eg a ion o exclu-
sion o a ious g oups. They se e as a aluable pe spec i e o means o
comp ehend he in ica e ela ionship be ween social amewo ks and
indi idual beha iou s. No ably, a signi ican disco e y is ha o en
Muslim middle-class indi iduals and g oups in Indonesia and Malaysia
pe cei e hemsel es as a dis inc class en i y.
This a icle has demons a ed ha middle-class li es yles in
Indonesia and Malaysia a e shaped by how eligion and e hnici y, mo e
gene ally, a e egula ed by s a e ins i u ions while also being in luenced
by he globaliza ion o eligious ma ke s. Bo h coun ies a e ac i ely
s a egizing o escape he middle-income ap a na ional and local
le els, as e lec ed in hei ongoing Islamic economic ini ia i es. These
e o s include building human capi al o suppo inno a i e and high-
echnology indus ies, expanding he halal indus y, and s eng hening
Islamic inancial sec o s. Howe e , a he indi idual le el, upwa d
mobili y— om he middle class o he uppe class o om po e y o he
eme ging middle class—is no a s aigh o wa d p ocess. Economic
p essu es, coupled wi h limi ed go e nmen social assis ance, make i
inc easingly di icul o indi iduals o main ain o ad ance hei so-
cioeconomic posi ion. Becoming a s ong, esilien , inno a i e, and
p oduc i e middle class is no easy ask, as compe i ion in ensi ies, and
many ind hemsel es apped in he same socioeconomic b acke . E en
sus aining middle-class s a us is challenging. The dynamics o indi idual
and household economic mobili y ul ima ely shape mac oeconomic
condi ions and de e mine whe he a coun y can b eak ee om he
middle-income ap.
Deba es o e wha has been e med Muslim pie y as an economy
equen ly na iga e mul iple scales—local, egional, na ional and glob-
al—wi hin socially and in ellec ually mobile middle-class ci cles. While
we ecognise he po en ial o speak o a global middle class, we
emphasise ha his o ical and con ex ual pe spec i es a e essen ial o
unde s anding he speci ici ies o local middle-class li es yles. The
b oade discou se on global de elopmen emains somewha abs ac ,
necessi a ing a mo e c i ical explo a ion o how global de elopmen
pa adigms a e applied and he impo ance o g ounding discussions in
empi ical case s udies and igo ous me hodological app oaches. Thus,
we belie e ha ou class analysis pinpoin s how a gumen s o global
J. Fische and E.F. Nisa
Resea ch in Globaliza ion 10 (2025) 100276
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